Lately, India has been the preferred choice for tech manufacturers from around the world. After grabbing a big opportunity with Apple and Samsung’s manufacturing operations, another milestone was achieved when Google decided to manufacture its flagship phone, the Pixel 8 in India. Google’s move will further strengthen the nation’s role in the global supply chain.
With big brands opting to manufacture their mobile tech in India, the mutual benefits of localization become quite obvious. Localization allows companies to meet local demands efficiently and mitigate import duties. For instance, Samsung’s establishment of the world’s largest mobile phone manufacturing facility in India showcases the country’s capacity to cater to global tech giants’ production needs.
Google’s decision to manufacture its flagship phone in India not only underscores the nation’s growing appeal as a manufacturing destination but also affirms its commitment to delivering top-tier hardware and software to the Indian populace.
This shift in manufacturing and supply chain concentration is part of the changing dynamics of global supply chains under strategies like China+1 and Minus China. As a direct consequence, the investment landscape in India has witnessed a tremendous surge, propelled by a remarkable 400% upswing in greenfield investments from the United States and Europe between 2021 and 2022. On the other hand, investments in China have taken a hit due to the disruptions and challenges posed by initiatives such as China’s Belt and Road.
Moreover, the Government of India as well as stakeholders of the manufacturing and supply chain industries have been making their efforts to provide a stable setting for global supply chains, which is again endorsed by the involvement of tech giants like Apple, Google, and Samsung. The ‘Make in India’ initiative acts as a catalyst, offering opportunities for these companies while benefiting from India’s skilled workforce and favorable policies.